c. Ave bencfits pad to the employee included in the employee's gross income? Modical and heath insurance benelts are oxduded from gross income except when the actual costs exceed the benefits Disabilty benetis, paid by the employer taxatle the insurance benefits are generaly gross income c. Ave bencfits pad to the employee included in the employee's gross income? Modical and heath insurance benelts are oxduded from gross income except when the actual costs exceed the benefits Disabilty benetis, paid by the employer taxatle the insurance benefits are generaly gross income